Internal Ref: 118243558
Summary
Hotel & Function Centre for Sale | Swan Valley, Perth WA | 34 rooms, 3 event spaces | 27yr below-market lease | Profitable | Under management
Location Details
10250 West Swan Road
About the Business
The Swan Valley Hotel represents a rare opportunity to acquire a fully modernised and operational hospitality business in one of Western Australia's most celebrated tourism destinations. Just 25 minutes from Perth's CBD and 10 minutes from the airport, the hotel benefits from exceptional accessibility, a strong domestic leisure base, and the continued growth of the Swan Valley visitor economy — now further enhanced by the opening of the METRONET Ellenbrook Line in December 2024.
The property comprises 34 well-appointed guest rooms, including a heritage bridal suite lodge, two versatile indoor function spaces, and a festoon-lit outdoor event lawn — all supported by a resort-style pool, gym and sauna, and guest laundry and kitchenette. These facilities position the hotel to service leisure, corporate, and events markets simultaneously, providing genuine revenue diversification from day one.
PROVEN PERFORMANCE — WITH SIGNIFICANT RUNWAY AHEAD
In less than a full year since relaunching under the SVH brand, the hotel is already delivering strong revenue and a healthy EBITDA margin — squarely within, and in some periods above, the industry range for comparable hospitality businesses. Revenue has grown materially year-on-year since reopening, with the most recent trading period tracking ahead of all prior years across every month. The fixed cost base is largely set — every additional dollar of revenue from here flows through at a structurally higher margin.
Accommodation performance reflects a business still building brand awareness and booking momentum. Weekend occupancy is strong and well-established, with peak spring months confirming robust underlying demand. Weekday and shoulder-period occupancy represent the clearest near-term growth opportunity — and one that has not yet been systematically pursued by the current ownership. The gap between current trading performance and Perth's city-wide average occupancy of 81.2% represents the most visible upside available to a new owner.
A LEASE STRUCTURE WORTH MILLIONS
At a fixed annual rate with CPI-only increases and no market rent reviews at renewal, the lease underpins the business with a structural financial advantage that compounds over time. Rent sits well below the industry benchmark as a proportion of revenue — a structural profit moat that widens every year as revenue grows and inflation erodes the real cost of rent. With 27 years remaining, this lease should be treated similarly to freehold for valuation purposes — and no ...
Connect with us